Scenario: Just-For-Kids, Inc. Just-For-Kids, Inc. Is a Toys and Clothes Manufacturer Based in Manufacturer

question 68

Multiple Choice

Scenario: Just-for-Kids, Inc.
Just-for-Kids, Inc. is a toys and clothes manufacturer based in San Diego, California. The company has received an inquiry from an overseas company to do business. Tom Dodd is the owner of the company researching the opportunity and how exchange rates will affect its international business activities.
-How do you explain to Tom what devaluation in a target market means?

• A) Devaluation increases the price of a country's exports on world markets.
• B) Devaluation reduces the price of imports like those of Just-For-Kids.
• C) Devaluation increases the price of imports like those of Just-For-Kids.
• D) Devaluation prohibits foreign companies to invest in the country.

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Definitions:

Hiring of Substitutes

The practice, particularly noted during the Civil War, where individuals who were drafted would pay others to serve in their place in the military.

Southern Offensive Operations

Military strategies or campaigns initiated by forces in the Southern part of a region or country, often referring to actions during wartime.

Fort Henry

A historical military fortification in Kingston, Ontario, Canada, originally built during the War of 1812 to protect the British-Canadian border from potential American attacks.

Gettysburg

A historic town in Pennsylvania, known as the site of a pivotal Civil War battle in 1863 and Abraham Lincoln's Gettysburg Address.